The economy expanded 2.3% in December, indicating annual growth below 1%

The Mexican economy grew 2.3% in annual seasonally adjusted terms in December and 0.2% compared to November, according to preliminary data published by the national statistics agency INEGI on Wednesday.

INEGI also published updated data for November showing 1.2% annual growth and 0.1% month-over-month growth.

shoe factory
Mexico’s secondary sector (which includes manufacturing) grew 1.2% annually in December. (Mario Jasso/Cuartoscuro)

According to Gabriela Siller, director of economic analysis at Banco Base, the data indicates that the Mexican economy recorded annual growth of 0.65% in 2025, a marked slowdown compared to the 1.5% expansion in 2024. Siller also said that the data — which is subject to revision — indicates the economy grew 1.36% in annual terms in the fourth quarter of last year and 0.97% compared to the previous three-month period.

INEGI’s preliminary data shows that Mexico’s secondary sector (manufacturing and construction) grew 1.2% annually in December, while the tertiary sector (services) expanded 2.9%. INEGI didn’t provide data for the primary sector (agriculture and mining).

On a month-over-month basis, the secondary sector grew 0.1% in December while the tertiary sector expanded 0.2%.

The overall month-over-month growth rate of 0.2% in December was the best result for the Mexican economy in the final month of the year since 2023. In December last year, the economy contracted 1% compared to the previous month, according to final data.

Other need-to-know economic data 

  • The Mexican peso was trading at 17.49 to the US dollar at 1:20 p.m. Mexico City time, according to Bloomberg. The peso is stronger now than at any point in 2025.
  • Mexico’s headline inflation rate was 3.69% in December, the lowest end-of-year level in five years.
  • The Bank of Mexico’s benchmark interest rate is currently set at 7%. The bank’s board will hold its next monetary policy meeting on Feb. 5.

With reports from Expansión and El Economista 

Have something to say? Paid Subscribers get all access to make & read comments.
Police, emergency services and Civil Protection outside the cinder block fence and entrance of a school

Vice principal killed, 3 injured in attack by former students at Torreón school

1
A vice principal was killed and three people injured Thursday when two former students allegedly attacked a Torreón secondary school.
Rachel

Hurricane Rachel and the season’s first cold front bring heavy rain to central and northern Mexico

0
Rachel strengthened to Category 3 early Thursday afternoon and is already bringing heavy rain to coastal states. At the same time, an advancing cold front is causing temperatures to drop and rain to fall in northern and central states.
Ex-president Andrés Manuel López Obrador, during a press conference

Report: AMLO government’s targeting of journalists and activists could be crimes against humanity

3
A new report from the University of Berkeley's Human Rights Center (HRC) argues that systematic persecution of human rights defenders during AMLO's tenure may have violated international law.
BETA Version - Powered by Perplexity